· By Dean Legg
Why Selling on Amazon Can Boost Your Ecommerce Business
For many businesses, especially those just starting out, the question of "where to sell" is a big one. While there are many options available, there's a giant in the room that can't be ignored: Amazon. But is Amazon the right fit for you? Let's dive into the undeniable benefits of selling on this massive platform.
Reach a Massive Audience
Amazon boasts millions of active customers every month. That's a lot of potential eyes on your products. By comparison, the cost and effort of driving traffic to your own website can be significant. On Amazon, you're already positioned in front of a ready-to-buy audience.
Monthly Visits On Amazon (April 2024, source https://www.semrush.com/website/amazon.com/overview/
USA - 2.45B
India - 71.31M
Canada - 37.28M
UK - 33.91M
Germany - no data but likely to be similar to The UK.
Credibility by Association
Amazon itself has a reputation for trust and reliability. Customers who see your products listed on the platform are more likely to perceive you as a legitimate seller. This can be a huge advantage, especially for new businesses that haven't yet established their brand identity.
FBA: Fulfillment by Amazon
One of the biggest advantages of selling on Amazon is the Fulfillment by Amazon (FBA) program. With FBA, you ship your products in bulk to Amazon's warehouses.
They then take care of picking, packing, shipping, and customer service for your orders. This frees you up to focus on growing your sales, as 100 sales on your website will be more time consuming then 100 sales on Amazon.
Go Global
Selling on Amazon can open doors to international markets. Amazon offers marketplaces in many countries, allowing you to reach customers all over the world with minimal additional effort.
Amazon USA, Japan, Canada, Germany and The UK are Amazon's biggest marketplaces by revenue.
Marketing and Advertising Opportunities
Amazon offers a variety of built-in marketing and advertising tools that can help you reach a targeted audience and increase your sales. These tools can be especially useful for small businesses that don't have a large marketing budget.
Data and Insights
Amazon provides sellers with valuable data and insights about their customers and their buying habits. This information can be used to improve your product listings, pricing strategy, and overall marketing efforts.
Downside
Of course, there are also some things to consider before you jump on the Amazon bandwagon. Competition can be fierce, and Amazon does take a cut of your sales in the form of fees.
Conclusion
Overall the positives outweigh the negatives, when it comes to selling on Amazon.
Without Amazon my old business would not of had the success that it had. Yes, Amazon can be a pain and you often feel lost with their seller support. But, you just need to expect some pain points and keep your eyes on the potential growth your business can get from selling on Amazon.
I think Amazon FBA is the best method to use when selling on Amazon.